Dr. Leone’s Full Motion as presented to the STRS Board October 19, 2007

October 19, 2007
Dennis Leone

Motion:

1. In the event that retirees are employed at STRS Ohio, the executive director will ensure that said new employees begin their employment at STRS Ohio with zero days of sick leave.

2. Payment by STRS Ohio of private/personal legal fees of STRS Ohio employees will not occur.

3. The awarding of severance packages, severance payments, or severance benefits to current or former STRS Ohio employees will not occur absent a formal approval of the STRS Ohio Retirement Board, by majority vote, in public session.

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October 19, 2007
Dennis Leone

Resolution Authorizing Administrative Officers to Act for the STRS Ohio Retirement Board in all matters related to Personnel and Current Expenses.

Motion:

.....1. ...Remove the words:

...............“all matters” from the heading of the resolution.

,,,,,2. ...Remove from the third paragraph:

..............."in all matters related to the employment and compensation of personnel.”

.....3. ...Add to the end of the third paragraph:

...............“and provided that such actions are consistent with Board adopted policies.”
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THE STATE TEACHERS RETIREMENT SYSTEM OF OHIO

RESOLUTION AUTHORIZING ADMINISTRATIVE OFFICERS
TO ACT FOR THE BOARD IN ALL MATTERS RELATED TO PERSONNEL AND CURRENT EXPENSES

........WHEREAS, the State Teachers Retirement Board of Ohio has adopted salary schedules for the compensation of all personnel, and a budget of expenses necessary for the proper operation of the System as provided by Section 3307.11, Revised Code, and

........WHEREAS, Section 3307.04, Revised Code, provides that the State Teachers Retirement Board of Ohio may authorize its administrative officers to act for the Board in accordance with such salary schedules and budget;

........THEREFORE, BE IT RESOLVED that the Executive Director or a Deputy Executive Director be authorized to act for the Board in all matters related to the employment and compensation of personnel and to make expenditures for all expenses not in excess of the total amount budgeted for current expenses, provided that administrative and/or project-based operating expenditures of $100,000 or more shall not occur without a formal vote of the Board, and

........BE IT FURTHER RESOLVED, that all expenditures by such administrative officers be subject to subsequent approval by the Board.

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October 19, 2007
Dennis Leone

Motion to change language in existing Board policy entitled “Delegation to the Executive Director,” on page 41, paragraph B of the Board Policy Manual (see attached):

Current language: “……the Executive Director is authorized to establish all further policies, make all decisions, take all actions, and develop all activities as long as they are consistent with a reasonable interpretation of the Board’s policies.”

The above current policy is inconsistent with the language of the Board adopted “Executive Director’s Job Description” on page 42 of the Board Policy Manual (see attached), which reads, in part:

“…...exercises all authority transmitted into the organization by the Board.”

“.…..organizational operations within the boundaries of prudence and ethics established in the Board.”

Current language also is inconsistent with the language of existing Board policy entitled “Executive Director Limitations on Compensation and Benefits” on page 54 of the Board Policy Manual (see attached), which reads in part:

“…...he/she (the Executive Director) may not establish current compensation or benefits that are not within the Board-approved salary schedules or benefit provisions.”

Proposed language change for page 41, paragraph B of the Board Policy Manual under “Delegation to the Executive Director:

“…….the Executive Director is authorized to implement decisions that are consistent with Board policies.”

The above language would supplant current language on page 41, paragraph B that begins: “the Executive [Director] is authorized to establish all further policies, make all decisions, take all actions, and develop all activities……….”

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(P. 41 of Board Policy Manual)

POLICY TYPE: BOARD-EXECUTIVE DIRECTOR RELATIONSHIP
POLICY TITLE: DELEGATION TO THE EXECUTIVE DIRECTOR

While the Board job is generally confined to establishing the broadest policies, implementation and subsidiary policy development is delegated to the Executive Director.

A. All Board authority delegated to associates is delegated through the Executive Director, so that all authority and accountability of associates – as far as the Board is concerned – is considered to be the authority and accountability of the Executive Director.

B. Ends policies direct the Executive Director to achieve certain results; Executive Director Limitations policies constrain the Executive Director to act according to law and within acceptable boundaries of prudence and ethics. With respect to Ends and Executive Director Limitations, the Executive Director is authorized to establish all further policies, make all decisions, take all actions and develop all activities as long as they are consistent with a reasonable interpretation of the Board’s policies.

C. The Board may change its policies, thereby shifting the boundary between Board and Executive Director domains. Consequently, the Board may change the latitude of choice given to the Executive Director, but so long as any particular delegation is in place, the Board and its members will respect and support the Executive Director’s choices. This does not prevent the Board from obtaining information in the delegated areas.

D. No Board member or officer has authority over the Executive Director, except Board committees working within the scope of their respective charters. Information may be requested by these individuals or groups. However, if such request – in the Executive Director’s judgment – requires a material amount of staff time or funds or is disruptive, it may be refused.

(Rev. 3-99)

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(P. 42 of Board Policy Manual)

POLICY TYPE: BOARD-EXECUTIVE DIRECTOR RELATIONSHIP
POLICY TITLE: EXECUTIVE DIRECTOR'S JOB DESCRIPTION

As the Board’s single official link to the operating organization, the Executive Director is accountable for all organizational performance and exercises all authority transmitted into the organization by the Board.

The Executive Director’s job contributions can be stated as performance in these areas:

A. Organizational accomplishment of the provisions of Board policies on Ends.

B. Organizational operation within the boundaries of prudence and ethics established in Board policies on Executive Director Limitations.

C. Serving as Secretary to the Retirement Board and maintaining an accurate record of its proceedings. (Such a record is to contain only the action of the Board, information required by case law and the vote thereon.)

(Rev. 3-99)

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(P. 54 of Board Policy Manual)

POLICY TYPE: BOARD-EXECUTIVE DIRECTOR RELATIONSHIP
POLICY TITLE: COMPENSATION AND BENEFITS

With respect to employment, compensation and benefits to associates, consultants, contract workers and volunteers, the Executive Director may not cause or allow jeopardy to fiscal integrity or public image.

Accordingly, he or she may not:

A. Change his or her own compensation and benefits.

B. Promise or imply permanent or guaranteed employment.

C. Establish current compensation or benefits that are not within Board-approved salary schedules or benefit provisions.

D. In the selection of a Deputy Executive Director or the Executive Assistant to the Board, fail to involve the Board in determining the qualifications and expectations for the position. The Executive Director will then make the employment decision, keeping the Board informed throughout the process.

(Rev. 3-99; 2-03)